Why DVI will continue to grow
DVI as a number of businesses in its portfolio which diversifies itself, DVI is not just an on-line travel company that’s first and foremost.
In “hotel land” there is a thing called rate parity and room inventory parity, meaning the same rate is to be displayed across all sites, unless there is a timed special promotion & the same amount of rooms are offered to sites. This occurs as Hotels do not want to put all their eggs in 1 basket i.e. Expedia or booking.com as they lose the fight of power over their product. Hotels will continuously work with all providers to ensure a more even distribution of sales across all market segments. Further to this there cannot be a “price war”, if an on-line travel agent (OTA) is caught underselling they are turned off by the hotel therefore the OTA will lose revenue, OTAs are also legally bound too.
DVI have a large and growing customer base through BYOJET & checkin.com, DVI focus promotional activity to these members on the mailing lists through exclusive deals, packages, EDMS etc etc
BYOJET & checkin.com have strong brand recognition domestically with hotel chains and the Australian customer, also a strong on-line presence.
BYOJET is a one stop shop for the customer from accommodation, cars insurance, cruises etc etc, the travel industry is moving in this direction. Especially selling rooms within a package of the customer doesn’t see the breakdown.
DVI also as jetmax and the technology…..
As for IBUYNEW – let’s JUST take into account the Brisbane market from 2012-13 there were 3398 unit approvals for the 12 months up to May 2015 the number was 11,028 units an increase of 224%. The 11,028 will come to the market now until 2017. Now if you look JUST at QLD there is expectations of 40,000 new approvals this financial year & 45,000 approvals in FY16. I have not even spoken about NSW, VIC, SA etc etc IBUYNEW is positioned extremely well to take advantage of the construction age we will be in over the next 3-5 years
**I have been in hotels for 12 years, either being a revenue manager for over 20 hotels across Australia & general manager/state of a number of Hotels ** please DYOR however I live and breathe this every-day.
DVI is a great business with great long-term revenue and profit growth, there are not many companies at this MC that can boast all of the above.
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